SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): December 4, 2020
BUILDERS FIRSTSOURCE, INC.
(Exact Name of Registrant as Specified in its Charter)
(State or Other Jurisdiction
2001 Bryan Street, Suite 1600, Dallas, Texas 75201
(Address of Principal Executive Offices)
(Registrants telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class
Name of Each Exchange
on Which Registered
|Common stock, par value $0.01 per share||BLDR||NASDAQ Stock Market LLC|
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
|Item 5.02.|| |
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On December 4, 2020, Builders FirstSource, Inc., a Delaware corporation (Builders FirstSource), announced that Mr. Donald F. McAleenan will be retiring as Senior Vice President, General Counsel, and Secretary of Builders FirstSource in connection with the closing of the previously announced merger of Boston Merger Sub I Inc., a Delaware corporation and a wholly owned subsidiary of Builders FirstSource (Merger Sub), with and into BMC Stock Holdings, Inc., a Delaware corporation (BMC), pursuant to the Agreement and Plan of Merger, dated as of August 26, 2020 (the Merger Agreement), by and among Builders FirstSource, Merger Sub, and BMC. Subject to the satisfaction or waiver of the remaining conditions set forth in the Merger Agreement, the parties expect to complete the merger in late 2020 or the beginning of 2021.
|Item 8.01.|| |
On December 4, 2020, Builders FirstSource announced to its employees the expected executive and field leadership teams following completion of the previously announced merger of Merger Sub with and into BMC pursuant to the Merger Agreement. A copy of the announcement is filed as Exhibit 99.1 to this Current Report and incorporated herein by reference.
|Item 9.01.|| |
Financial Statements and Exhibits.
The following exhibit is filed as part of this Current Report:
|99.1||Announcement to Employees, dated December 4, 2020|
|104||Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document|
* * *
Cautionary Notice Regarding Forward-Looking Statements
This report, in addition to historical information, contains forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995) regarding, among other things, future events or the future financial performance of BMC Stock Holdings, Inc. (BMC) and Builders FirstSource, Inc. (Builders FirstSource). Words such as may, will, should, plans, estimates, predicts, potential, anticipate, expect, project, intend, believe, or the negative of these terms, and words and terms of similar substance used in connection with any discussion of future plans, actions or events identify forward-looking statements. Any forward-looking statements involve risks and uncertainties that are difficult to predict or quantify, and such risks and uncertainties could cause actual events or results to differ materially from the events or results described in the forward-looking
statements, including risks, or uncertainties related to the novel coronavirus disease 2019 (also known as COVID-19) pandemic and its impact on the business operations of BMC and Builders FirstSource and on local, national and global economies, the growth strategies of BMC and Builders FirstSource, fluctuations of commodity prices and prices of the products of BMC and Builders FirstSource as a result of national and international economic and other conditions, or the significant dependence of both companies revenues and operating results on, among other things, the state of the homebuilding industry and repair and remodeling activity, lumber prices and the economy. Neither BMC nor Builders FirstSource may succeed in addressing these and other risks or uncertainties.
Forward-looking statements relating to the proposed business combination between BMC and Builders FirstSource include, but are not limited to: statements about the benefits of the proposed business combination between BMC and Builders FirstSource, including future financial and operating results; the plans, objectives, expectations and intentions of BMC and Builders FirstSource; the expected timing of completion of the proposed business combination; and other statements relating to the proposed merger that are not historical facts. Forward-looking statements are based on information currently available to BMC and Builders FirstSource and involve estimates, expectations and projections. Investors are cautioned that all such forward-looking statements are subject to risks and uncertainties, and important factors could cause actual events or results to differ materially from those indicated by such forward-looking statements. With respect to the proposed business combination between BMC and Builders FirstSource, these factors could include, but are not limited to: the risk that a condition to closing of the business combination may not be satisfied, including as a result of the failure to obtain approval of stockholders of BMC and Builders FirstSource on the expected terms and schedule or at all; the length of time necessary to consummate the proposed business combination, which may be longer than anticipated for various reasons; the risk that the businesses will not be integrated successfully; the risk that the cost savings, synergies and growth from the proposed business combination may not be fully realized or may take longer to realize than expected; the assumptions on which the parties estimates of future results of the combined business have been based may prove to be incorrect in a number of material ways, which could result in an inability to realize the expected benefits of the proposed business combination or exposure to material liabilities; the diversion of management time on issues related to the business combination; the effect of future regulatory or legislative actions on the companies or the industries in which they operate; the risk that the credit ratings of the combined company may be different from what the parties expect; economic and foreign exchange rate volatility; changes in the general economic environment, or social or political conditions, that could affect the businesses; the potential effect of the announcement or consummation of the proposed business combination on relationships with customers, suppliers, competitors, lenders, landlords, management and other employees; the ability to attract new customers and retain existing customers in the manner anticipated or at all; the ability to hire and retain key personnel; reliance on and integration of information technology systems; the risks associated with assumptions the parties make in connection with the parties critical accounting estimates and legal proceedings; certain restrictions during the pendency of the business combination that may affect the ability of BMC and Builders FirstSource to pursue certain business opportunities or strategic transactions; and the potential of international unrest, economic downturn or effects of anticipated tax rates, raw material costs or availability, benefit or retirement plan costs, or other regulatory compliance costs.
Additional information concerning other risk factors pertaining to BMC and Builders FirstSource is also contained in the parties respective most recently filed Annual Reports on Form 10-K, subsequent Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other information filed with the Securities and Exchange Commission (the SEC). Many of these risks and uncertainties are beyond BMCs or Builders FirstSources ability to control or predict. Because of these risks and uncertainties, you should not place undue reliance on these forward-looking statements. It is not possible to anticipate or foresee all risks and uncertainties, and investors should not consider any list of risks and uncertainties to be exhaustive or complete. Furthermore, neither BMC nor Builders FirstSource undertakes any obligation to update publicly or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this report. Nothing in this report is intended, or is to be construed, as a profit forecast or to be interpreted to mean that the earnings per share of the common stock of BMC or of the common stock of Builders FirstSource for the current or any future financial years, or the earnings per share of the common stock of the combined company, will necessarily match or exceed the historical published earnings per share of the common stock of BMC or Builders FirstSource, as applicable. Annualized, pro forma, projected and estimated numbers are used for illustrative purpose only, are not forecasts and may not reflect actual results. All subsequent written and oral forward-looking statements concerning BMC, Builders FirstSource, the proposed business combination, the combined company or other matters and attributable to BMC, Builders FirstSource or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above.
Additional Information and Where to Find It
In connection with the proposed business combination, Builders FirstSource previously filed with the SEC a registration statement on Form S-4 (the Registration Statement) that includes a prospectus with respect to the shares of common stock to be issued by Builders FirstSource in the business combination and a joint proxy statement for BMCs and Builders FirstSources respective stockholders (the Joint Proxy Statement). This Registration Statement was declared effective on November 18, 2020. Each of BMC and Builders FirstSource commenced mailing the definitive Joint Proxy Statement to its stockholders on or about November 18, 2020, and may file other documents regarding the business combination with the SEC. This report is not a substitute for the Registration Statement, the definitive Joint Proxy Statement, or any other document that BMC or Builders FirstSource may send to its stockholders in connection with the proposed business combination. This report is for informational purposes only and does not constitute, or form a part of, an offer to sell or the solicitation of an offer to sell or an offer to buy or the solicitation of an offer to buy any securities, and there shall be no sale of securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended, and otherwise in accordance with applicable law. INVESTORS AND SECURITY HOLDERS OF BMC AND BUILDERS FIRSTSOURCE ARE URGED TO READ THE REGISTRATION STATEMENT, THE DEFINITIVE JOINT PROXY STATEMENT, AND ANY OTHER RELEVANT DOCUMENTS (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT BMC, BUILDERS FIRSTSOURCE, THE PROPOSED BUSINESS COMBINATION AND RELATED MATTERS. Investors and security holders of BMC and Builders FirstSource may obtain free copies of the Registration Statement, the definitive Joint Proxy Statement, and other documents (including any amendments or supplements thereto) containing important information about BMC and Builders FirstSource filed with the SEC, through the website maintained by the SEC at www.sec.gov. BMC and Builders FirstSource make available free of charge at ir.buildwithbmc.com and investors.bldr.com, respectively, copies of materials they file with, or furnish to, the SEC.
Participants in the Solicitation
BMC, Builders FirstSource, and their respective directors, executive officers, and other members of management and employees may be deemed to be participants in the solicitation of proxies from the stockholders of BMC and Builders FirstSource in connection with the proposed business combination.
The identity of BMCs directors and executive officers and their ownership of BMCs common stock is set forth in BMCs Annual Report on Form 10-K for the fiscal year ended December 31, 2019, which was filed with the SEC on February 27, 2020, and its proxy statement for its 2020 Annual Meeting of Stockholders, which was filed with the SEC on March 27, 2020.
The identity of Builders FirstSources directors and executive officers and their ownership of the common stock of Builders FirstSource is set forth in Builders FirstSources Annual Report on Form 10-K for the fiscal year ended December 31, 2019, which was filed with the SEC on February 21, 2020, and its proxy statement for its 2020 Annual Meeting of Stockholders, which was filed with the SEC on April 28, 2020.
Investors may obtain additional information regarding the interest of such participants and a description of their direct and indirect interests, by security holdings or otherwise, by reading the Registration Statement, the Joint Proxy Statement, and other materials filed with the SEC in connection with the proposed business combination when they become available. You may obtain these documents free of charge through the website maintained by the SEC at www.sec.gov and from the websites of BMC or Builders FirstSource as described above.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|BUILDERS FIRSTSOURCE, INC.|
|Dated: December 4, 2020||By:|
|Name:||Donald F. McAleenan|
|Title:||Senior Vice President, General Counsel and Secretary|
|Date:||December 4, 2020|
|To:||All Team Members|
|From:||Chad Crow, President & CEO|
|Re:||WINNING TOGETHER AS 1 // Integration Planning Update|
On behalf of Dave Flitman and myself, I am excited to announce the executive and field leadership teams for the combined organization following the close of our merger, which is expected in late 2020 or early 2021.
As a reminder, after a 90-day transition period following the completion of the merger, I will retire as previously announced and will be succeeded as CEO of the combined company by Dave Flitman. Thereafter, I will continue to be available on a consulting basis to the combined company for a period of time to support the integration execution and to ensure an orderly transition.
EXECUTIVE LEADERSHIP TEAM
I am pleased to announce the additional members of the newly formed executive leadership team that includes the following individuals. Their responsibilities are further outlined in the attached organizational chart.
Tim Johnson | General Counsel
Currently holds the same title with BMC
Peter Jackson | Chief Financial Officer
Currently holds the same title with Builders FirstSource
Dave Rush | EVP, IMO Leader
Currently COO East with Builders FirstSource
Jim Major | EVP, IMO Leader
Currently CFO with BMC
Mike Farmer | President, Commercial Operations
Currently holds the title of Executive Vice President, Operational Excellence, People & Growth with BMC
Tim Page | Executive Vice President, Business Development & Digital Experience
Currently holds the title of SVP, Strategy & Business Development with Builders FirstSource
Dave Snyder | Executive Vice President, Supply Chain
Currently holds the same title with Builders FirstSource
Scott Robins | President West Division
Currently holds the title of Chief Operating Officer, West with Builders FirstSource
Mike Hiller | President Central Division
Currently holds the title of Divisional Vice President, Intermountain with BMC
Steve Herron | President East Division
Currently holds the title of Sr. Vice President of Operations, Region 5 with Builders FirstSource
Additionally, we are excited to announce the senior vice presidents responsible for overseeing the future companys 10 regions (see attached map for geographic reference) are listed below along with their geographic responsibilities:
|WEST:||Jason Behunin (Northwest); Keith Costello (Pacific); Rob Beardall (Mountain)|
|CENTRAL:||Mike Mendlik (NW Texas); Dan Schau (North Central); Paul Vaughn (South Central)|
|EAST:||Mike McCrobie (Northeast); Todd Vance (Mid-Atlantic); Steve Buffington (Georgia); Greg Turnage (Florida)|
In addition, we have selected leaders for four other key roles: John Barrow (Currently CIO for BFS) will be the SVP and CIO reporting to Peter Jackson, CFO. Also reporting to Peter will be Michael Neese (Currently SVP Investor Relations at BMC) who will become SVP Investor Relations. Amy Plasha (Currently VP HR for BMC) will be the SVP of HR reporting to Tim Johnson, General Counsel. Joe Barnes (Currently SVP Operations and Supply Chain at BMC) will be SVP & IMO Sourcing & Supply Chain Leader reporting to Dave Rush, EVP Integration.
We are pleased to reach this major milestone on our journey to unite our two exceptional companies. These talented professionals will ensure the combined organization continues to thrive, grow and create value for our customers, Team Members and shareholders.
Let me close by expressing my gratitude to all leaders on both sides, especially those who have contributed to the ongoing integration planning process. Specifically, I would like to thank Ed Waite, Tom Adams and Wayne Canada who will be retiring next year. Ed has spent 40 years with legacy BFS companies and has represented the model on people leadership. Tom has been with the company for over 7 years, with 39 years in the industry and has done an excellent job leading our northeast region. Wayne Canada, who joined BFS as part of the companys very first acquisition, will retire after 26 excellent years of service with the company. These three incredible leaders helped build BFS into what it is today, and we are forever grateful for their contributions.
Last, but certainly not least, Don McAleenan, an original founder of BFS, will be retiring 90 days post close after 23 years of service with the company. No one has worked harder, and been more dedicated to this company and its team members, than Don McAleenan. His work ethic, grittiness, and brilliant sense of humor embody the culture that has made BFS so successful over the past two decades. Dons mark on this company is like no other, and I can honestly say BFS would not be the industry leader it is today if not for his efforts. Please join me in congratulating Don on such an incredible career. Thank you, Don, for all you have done.
Please join me in congratulating our leadership team on their roles in our new organization!